As a medical billing and coding specialist, it is important to be familiar the laws that may affect you. First of all, a law is a rule that everyone must abide by. There are four classifications of law that you should know; statutory law, administrative law, common law, and case law.
Statutory Law: Statutory law is a rule that is created by the legislative process. On the federal level, this is when the Senate, the House of Representatives, and the President of the United States agree on a rule. A similar process occurs on state and local levels.
Administrative Law: Administrative law is a rule enacted by a government official or a group of government officials in order to administer a statutory law. An example of this would be Medicare and Medicaid were created by statutory law. Authority was granted for the administrative branch of government to appoint officials to run these programs and create regulations. These regulations are the administrative laws we refer to above.
Common law – Common law is a rule that comes about from common practice rather than a rule created by a governing body or by a government official. You may have heard the term used, “common law” marriage. This is when after a couple have lived together and shared assets for a given amount of time, they are considered married. This is an example of common law.
Case law – Case law is a rule created by a court when interpreting statutory law and administrative law. Since the legislative process usually produces laws that are vague, and lots of times a prior case will be used to help explain what the intention of a law is.
When studying how to become a medical billing and coding specialist, you will learn more in depth about laws and the ones specific to your allied health field. Let this serve as an overview for the subjects which we will discuss more thoroughly in up and coming blogs.
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